India’s Finished Steel Production Rises 5.9% to 41 Million Tonnes in Q1 FY27 as Infrastructure Demand Strengthens

India’s steel industry has started the financial year on a strong note, with finished steel production and consumption registering healthy growth during the April-June quarter of FY27. According to the Ministry of Steel, finished steel production increased by 5.9 percent year on year to 41 million tonnes, compared to 38.7 million tonnes during the corresponding period last year.

Domestic steel consumption also recorded impressive growth, rising 8.3 percent to 41.6 million tonnes from 38.4 million tonnes a year earlier. The increase reflects sustained demand from large-scale infrastructure projects across highways, railways, ports and urban development, along with continued momentum in the construction and manufacturing sectors.

During June 2026 alone, finished steel production reached 13.8 million tonnes, registering a 6 percent increase over 13 million tonnes in June 2025. Consumption during the month also climbed 7.2 percent to 14.2 million tonnes, highlighting the strength of India’s domestic steel market.

The country’s export performance also improved significantly. Steel exports surged 38.1 percent during June to 616,200 tonnes, while export value increased 43.5 percent to ₹4,674 crore compared to the same month last year. The higher export earnings reflect improved international demand and stronger pricing for Indian steel products.

Crude steel production reached 14.1 million tonnes during June, compared to 13.5 million tonnes in the corresponding month of 2025. Meanwhile, India’s total crude steel manufacturing capacity stood at 221.9 million tonnes per annum as of June 2026.

The latest figures indicate that India remains firmly on course to achieve the National Steel Policy target of expanding steelmaking capacity to 300 million tonnes per annum by 2030. Continued government investments in infrastructure, rising urbanisation, increasing industrial activity and growing private sector investments are expected to sustain steel demand over the coming years.

With robust domestic consumption, expanding production capacity and improving export performance, India’s steel sector continues to strengthen its position as one of the world’s fastest-growing steel markets while supporting the country’s long-term infrastructure and industrial development goals.